What is Business Analysis?- A Beginner Friendly Guide

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by

chennaravali04cr
in

Definition of Business Analysis

The International Institute of Business Analysis (IIBA) defines Business Analysis as “the practice of enabling change in an enterprise by defining needs and recommending solutions that deliver value to stakeholders.”

Business Analysis can be used within the boundaries of a project or throughout the enterprise evolution and continuous improvement.

Business Analysis can be used to understand the current state , to define the future state , it is used to determine the activities required to move forward from current state to future state.

That sounds formal, right? Let’s break it down with a simple, real-world story.

A Day in the Life of a Business Analyst: Fixing a Supply Chain Problem

The Situation (Current State)

Meet Sarah, A Business Analyst who works with a small supply chain company. Recently, the company has been receiving a flood of customer complaints:

  • “We didn’t receive what we ordered.”
  • “The wrong products were shipped.”
  • “Our orders are incomplete.”

The customers were unhappy, It’s not just about the customers are unhappy but the company was losing money from handling returns, reshipping products, and managing damaged relationships with clients.

Sarah was brought in to figure out what was going wrong.

Step 1: Understanding the Current State

Sarah started by listening. She spoke to customer service reps who handled the complaints daily, warehouse staff who picked and packed the orders, and the IT team who managed the Order Management System (OMS) and Warehouse Management System (WMS)

Here’s what she found:

  • Orders were being sent by customers through emails or handwritten notes.
  • Staff re-entered those details manually into the system.
  • Mistakes happened when handwriting was unclear or details were misread.
  • Once the wrong product was picked, there was no verification step before shipment.

The problem wasn’t just in one place — it was a process issue affecting the entire order flow.

Step 2: Defining the Need

From her research, Sarah defined the business need clearly:
👉 “We need a way to capture customer orders accurately and verify products before shipping.”

Step 3: Recommending a Solution

Instead of quick fixes, Sarah proposed a two-part solution that would address the root causes:

  1. Online Ordering Portal – Customers could enter their orders directly, eliminating manual re-entry by warehouse staff.
  2. Barcode Scanning in the Warehouse – Staff would scan products during picking and packing to confirm accuracy before shipment.

Step 4: Delivering Value to Stakeholders

This solution wasn’t just about technology — it created real value:

  • Customers: Orders are delivered accurately and on time, restoring trust.
  • Warehouse Staff: Less stress and rework because errors are caught early.
  • Management: Lower costs, fewer complaints, and happier clients.

Step 5: From Project to Continuous Improvement

At first, Sarah managed this as a project. She worked with IT to design the online ordering portal, gathered requirements from customers, and mapped how orders would flow into the existing warehouse system. She also helped the warehouse team test barcode scanners and trained them on the new workflows for picking and packing.

But after the system went live, Sarah’s work didn’t end. She monitored error rates and customer satisfaction. While the error rate dropped dramatically, a few customers and warehouse staff still had trouble using the new portal.

To make the transition smoother, Sarah recommended:

  • Step-by-step user guides for warehouse staff on using the portal for picking and packing orders.
  • Online chat support for customers to help them navigate the portal and place orders correctly.

These improvements helped both the warehouse staff and customers easily adapt to the new system, making the overall change more successful and sustainable.

Step 6: Moving to the Future State

Sarah mapped the company’s journey like this:

  • Current state: Manual orders + no verification → frequent errors and complaints.
  • Future state: Automated order entry + barcode scanning → accurate, timely deliveries.
  • Steps taken: Documented processes, chose solutions, piloted with a few customers, trained staff, rolled out company-wide.

✅ The Takeaway
This story shows that Business Analysis isn’t just about documenting requirements. A BA like Sarah is the navigator of change — helping the company:

  • Understand its current problems,
  • Define what the future should look like, and
  • Plan the steps to get there in a way that delivers real value to all stakeholders.

In the end, Sarah’s work didn’t just fix wrong shipments — it rebuilt customer trust, improved staff efficiency, and gave the company a scalable way to grow.

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